BOJ kept overnight call rate at 0.75% on 28 April 2026, but three board members urged higher rates due to inflation risks.
BOJ now expects FY2026 headline CPI at 2.8‑3.0% and core CPI at 2.5‑2.7%, above its 2% target and prior forecasts.
Real GDP growth for FY2026 trimmed to 0.4‑0.7% from 0.8‑1.0%, with further downward revisions for FY2027‑2028.
BOJ highlighted rising oil prices from the Middle East war as a drag on consumer prices, corporate profits and economic growth.